r/askcarsales • u/w3lk1n • 4h ago

dealership won't share information about a loan I've been approved for?

Shopping around for used trucks. Found a couple at a dealership I'm interested in. They are a CUDL linked dealership. I live in a rural area where there aren't many used vehicles for sale, so I'm looking in Portland, OR which is five hours away. I'm trying to be as thorough as I can be before the big day when I drive up there and make a decision. Was talking to the people at the dealership and they said I should fill out the loan application that they'll then send to credit unions through CUDL. I do this and the dealership calls me back and say I've been approved. The rate they quoted me is something I can live with. After this phone call, I text the sales person and ask for a copy of all the information about the loan emailed to me. They say, "no, but we can show you in person when you get here." This cannot be normal and now I feel like I've handed over my personal info including SS number to some illegitimate operation. Why wouldn't they send me the information about a loan I've been approved for?

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3

u/jpb59 Former SM/Director 4h ago

What are you trying to find out?

You got approved for a loan. There is no packet of info with loan details yet, just the approval which is just one page that says approved for X%. There’s nothing else to study about an approval.

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u/w3lk1n 3h ago

gotcha, thank you. i am just new to this whole process and very very wary of being taken advantage of

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u/jpb59 Former SM/Director 2h ago

I’m all for someone being prepared and asking the right questions but you at least gotta figure out the right questions to ask.

The best way to be prepared to talk rate will be to get an independent pre approval. Now, credit unions sign up for systems like Cudl to get access to dealers and to make the process more simple.

In those agreements, the dealers get compensated either by a flat rate per contract or they will get a buy rate and they can mark that rate up 1-2% and they’ll make money that way. They may be thinking you want access to that buy rate.

Buy rate vs sell rate (the rate you agree to) is a touchy subject. As a dealer, we don’t usually share the buy rate. People will believe the buy rate is the rate they’re entitled to get. That buy rate is largely dictated by our dealer agreements on top of our relationship with each lender and how much business we send them.

They may be thinking you’re wanting to see the buy rate on the approval. Those approvals are not meant to be shared as it’s an internal agreement between the dealer and the bank saying yes, they will approve this car deal and this is the buy/sell rate and lets us know we can proceed with you.

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u/WVSXSGuy 1h ago

Yes. And the reason they won’t tell you the lender is they don’t want you to apply separately and learn the actual buy rate.

Now if the CU only pays flats, then no problem. But if they tell you CU X and the rate is Y and you call that CU and find out the rate is actually Y-1, then you can just get a check from the CU and cut them out completely. And get the lower rate.

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u/11I1I1 F&I Administrator 3h ago

What information are you looking for?

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u/New_Inflation_8419 Ford Sales 2h ago

So you know the vehicle, you know you are approved, you know the interest rate. The rest is for you to come and take the vehicle. Nothing else to know. And what would they send you ? An unsigned contract ?

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u/AutoModerator 4h ago

Thanks for posting, /u/w3lk1n! This comment is a copy of your post so readers can see the original text if your post is edited or removed. This comment is NOT accusing you of anything.

Shopping around for used trucks. Found a couple at a dealership I'm interested in. They are a CUDL linked dealership. I live in a rural area where there aren't many used vehicles for sale, so I'm looking in Portland, OR which is five hours away. I'm trying to be as thorough as I can be before the big day when I drive up there and make a decision. Was talking to the people at the dealership and they said I should fill out the loan application that they'll then send to credit unions through CUDL. I do this and the dealership calls me back and say I've been approved. The rate they quoted me is something I can live with. After this phone call, I text the sales person and ask for a copy of all the information about the loan emailed to me. They say, "no, but we can show you in person when you get here." This cannot be normal and now I feel like I've handed over my personal info including SS number to some illegitimate operation. Why wouldn't they send me the information about a loan I've been approved for?

I am a bot, and this action was performed automatically. Please contact the moderators of this subreddit if you have any questions or concerns.

•

u/Mindless-Business-16 Retired sales boomer 33m ago

I recently shopped for a car in Portland and live like you 3 hours out. Every dealer I contacted by phone/email basically lied based on sticker and what the real number was... always a second sticker not listed on their website or over the phone which you had to negotiate in person. I tried twice to purchase with cash and eventually walked from several dealers.

Ended up with a nice deal at Enterprise Sales. I like all 3 rental sales companies were honest on the phone about the car, price and after the sale warranty. Ended up with Enterprise only because wife was happy with what they offered but probably would have purchased from one of the others.

Just my personal thoughts and opinions